Why Canberra could shortly pip Sydney for prices

“It’s surging. The inventory levels are certainly the lead indicator for us,” one-half of the self-proclaimed data nerds, Kent Lardner, said on a recent episode of The Property Nerds podcast.

“Sydney is tight at 2.32 per cent for houses, but the ACT at 1.3 per cent is extraordinary. It’s obviously a frenzy,” Mr Lardner noted.

The number of people touring open homes in the ACT has also risen to unprecedented levels, with the inner suburbs said to be garnering the most attention.

“If you’re in your Belconnen’s, your Tuggeranong’s, even closer in to the inner parts of the ACT, it is a factor of do you want this property, then you put in an offer at the first open home, or do you not want this property and you miss out at the first open home. That’s how tight the conditions are,” InvestorKit’s Arjun Paliwal said.

Recent CoreLogic data has confirmed The Property Nerds’ predictions, with auction markets across Australia’s capital said to have hit their highest preliminary clearance rate of 93.8 per cent of the 48 reported auctions selling under the hammer over the Easter weekend.

Moreover, recent data from Archistar has put Canberra’s rental vacancy rates for houses at below 1.0 per cent, with the city said to be the most expensive capital for tenants.

Just last week, CoreLogic said the national home value index has recorded its fastest rate of appreciation in over 30 years, with capital cities said to have reclaimed the pole position, having been outpaced by regional markets for months.

CoreLogic put Canberra’s monthly growth at 2.8 per cent, above both Melbourne and Brisbane.

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